INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Domestic equity indices extended decline to a third session on Thursday, tracking weakness in global shares and uncertainty
regarding the state elections outcome
Heavy selling was witnessed in metals, banking and realty counters.
A firm rupee and a slide in crude oil prices did little to lift the mood
on Dalal Street.
Equity, commodity and forex markets will remain closed for trading on Friday on account of Guru Poornima.
On the day, BSE
benchmark Sensex slipped below the 35,000 mark and settled 218.78 points or 0.62 per cent lower at 34,981.02
Meanwhile, NSE Nifty closed the day at 10,526.75, down 73.30 points or 0.69 per cent.
The 30-share index witnessed a swing of 427 points
Only five Sensex stocks closed the day higher with Adani Ports leading the gainers
MM, with a loss of 3.02 per cent, was the worst index performer
It was followed by Tata Steel, Wipro, Axis Bank, Coal Indian and Power Grid
These shares shed between 2.28 per cent and 1.59 per cent.
On the BSE, barring capital goods index, all other indices ended lower
Metals, telecom, power, realty, basic materials and energy were the worst hit sectors on BSE and shed up to 1.84 per cent.
BSE Midcap and
BSE Smallcap fell in line with Sensex and closed with losses of 0.74 per cent and 0.44 per cent respectively.
In Nifty, 10 stocks closed in
the green while 40 closed in the red
Only Nifty Media index, with gains of 1.42 per cent closed the day higher, rest all other indices shut shop on a tepid note.
Key factors
that weighed on the market:1
Weakness in global markets: Europe's markets dropped into the red on Thursday, as investor worries mounted over slowing global growth in the
face of rising US interest rates and trade tensions
Chinese markets extended their slump in Asia amid the trade war with the United States, and with Wall Street closed later for Thanksgiving,
Heavy selling in metals and bank stocks: Metals and banking counters came under heavy selling pressure on Thursday with both the indices
shedding over a per cent higher on Nifty
In the Nifty PSU Bank index, all constituents ended the day in the red while
Nifty Metal index dropped 1.77 per cent with only one stock in the green.
3
Election woes: Investors remained jittery ahead of the outcome of elections in five states.
Bloomberg quoted Avinash Gorakshakar, head of
research at Joindre Capital Services as saying that markets will remain volatile in the next six to nine months - either up or down - and
investors will have to play the volatility to their advantage
“Oil price is a crucial factor for Indian equities and politics is a wild card and they will decide the direction of stocks near term,”
Gorakshakar added.
Expert takeMarket failed to hold the opening gains as weak global market and selling in metals and PSU banks dragged the
Global growth concerns due to trade war, rising interest rate and lower liquidity in the financial markets added to the woes
However, rise in US crude oil inventory and expectation of slow pace in FED rate hike in CY19 could provide some support- Vinod Nair, Head
of Research, Geojit Financial ServicesVolatility struck the bourses, as the key benchmark indices erased intraday gains to sink in negative
On the sectoral front, barring the media index which gained over 1%, all other sectoral indices on the NSE closed the day with sharp losses-
Abhijeet Dey, Senior Fund Manager-Equities, BNP Paribas MF
